Future iPhones Could Be 'Made in America' as Apple Asks Foxconn to Consider U.S. Manufacturing

Discussion in 'Politics, Religion, Social Issues' started by MacRumors, Nov 17, 2016.

  1. MacRumors macrumors bot

    MacRumors

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    Apple manufacturing partner Foxconn has been studying the possibility of moving iPhone production to the United States, according to Japanese website Nikkei Asian Review, leading to hopeful speculation some iPhones could one day be "Made in America" rather than be assembled and imported from China.

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    The report claims Apple asked both Foxconn and rival supplier Pegatron, which denied the request, to look into making iPhones stateside, although Foxconn chairman Terry Gou is said to be less enthusiastic about the idea due to inevitably higher production costs in the United States compared to China.
    In a speech at Liberty University in Virginia earlier this year, President-elect Donald Trump said "we're going to get Apple to start building their damn computers and things in this country instead of in other countries," while he has also threatened to introduce a 45% tax on products imported from China.

    Apple CEO Tim Cook previously told 60 Minutes it manufactures iPhones in China because of "skill," not lower wages. Cook said China has put an "enormous force on manufacturing," adding that the U.S. workforce has a smaller number of individuals with the "vocational kind of skills" needed.
    Meanwhile, an industry executive told Nikkei the U.S. does not have the "cluster of suppliers" needed to manufacture iPhones. In Asia, Taiwan's TSMC makes A-series chips for iPhones, Japan's Sharp and Japan Display supply iPhone displays, and South Korea's SK Hynix and Japan's Toshiba produce memory chips for the device.
    U.S. manufacturing would inevitably raise concerns about Apple's profit margins and, in turn, how much the iPhone costs for customers. iPhone 7 component costs are estimated to start at $220, compared to a base price of $649, although Cook has previously dismissed third-party cost estimates as being highly inaccurate.

    TSMC and Sharp have acknowledged that while U.S. manufacturing would prove more expensive, the companies would certainly consider the move over losing a major customer such as Apple. But, for now, the idea likely remains a stretch even in light of new political pressures.

    Note: Due to the political nature of the discussion regarding this topic, the discussion thread is located in our Politics, Religion, Social Issues forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

    Article Link: Future iPhones Could Be 'Made in America' as Apple Asks Foxconn to Consider U.S. Manufacturing
     
  2. tkukoc macrumors 6502a

    tkukoc

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    I put this down as a 10 year plan. This wouldn't be an easy transition by any means.
     
  3. Red Oak macrumors regular

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  4. lewisd25 macrumors 6502a

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    MAGA! Bring Apple manufacturing to Detroit. They need it bad.
     
  5. kevinkyoo macrumors 6502a

    kevinkyoo

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    Say whatever you want about Trump, but if this goes through, that would be huge. Potentially tons of new jobs for one of the largest tech companies available to people in this country?
     
  6. Zwhaler macrumors 603

    Zwhaler

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    "Skill"??? Hahaha that is a good one. Everyone knows that companies outsource to China (and Mexico, Taiwan, the Philippines, Bangladesh, etc.) because of "skill"!
    </s>
     
  7. Goatllama macrumors 6502a

    Goatllama

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    They probably don't want to do this 'cause they can't think of a way to incorporate the 'Made in America' logo without clashing with their design tenets. :D
     
  8. Akack macrumors 6502a

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  9. tremlock macrumors 6502a

    tremlock

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  10. okboy macrumors regular

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  11. netwalker macrumors regular

    netwalker

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    Exactly. Made in America by robots. Too bad robots don't pay income tax and buy local products.
     
  12. yaxomoxay macrumors 68000

    yaxomoxay

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    This would be quite a huge accomplishment. Of course there's much more detail to see, but the concept is great.
     
  13. Rudy69 macrumors 6502a

    Rudy69

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    Exactly, this won't create new jobs at all. People don't realize that it's more or less the only way they'll be bringing the production over
     
  14. jlasoon macrumors 6502

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    15% corporate tax folks!

    This is just the beginning.
     
  15. d0minick macrumors 6502

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    but robots need people to work on them. oversee them. watch logistics. maybe not millions of jobs, but could be hundreds.
     
  16. Fall Under Cerulean Kites macrumors regular

    Fall Under Cerulean Kites

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    This.

    Unfortunately, US citizens have become increasingly less likely to choose vocational professions, instead opting for college “educations.” Good luck turning that ship around, Mr. Trump. I certainly wish him well and applaud the efforts, but I believe it’s about more than just price.
     
  17. yaxomoxay macrumors 68000

    yaxomoxay

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    #18
    Producing company will pay taxes in the US.
    People will need to oversee robotics.
    People will need to work in the buildings.
    People will need to plan and implement.
    People will need to deliver from the US to the rest of the world and pay taxes/fees/salaries accordingly.

    Of course you ain't going to have a XIX century manufacturing chain, or not even a replica of Foxconn in China.
     
  18. BootsWalking macrumors 6502a

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    Why couldn't the parts be shipped to the USA for assembly here?
     
  19. Jakexb macrumors 6502a

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    we're going to get Apple to start building their damn computers and things in this country instead of in other countries," while he has also threatened to introduce a 45% tax on products imported from China.
    There are only two ways this kind of manufacturing comes back to the US. Reduce minimum wage to $1.50/hour (probably not the kind of jobs people were hoping for) or automate the entire production line (much, much fewer jobs than people are imagining).

    Assembly line jobs are not coming back to America. To be completely honest, they're steadily being eliminated even in China as automation becomes even cheaper than paying people $1.50/hr.
     
  20. Weaselboy, Nov 17, 2016
    Last edited: Nov 17, 2016

    Weaselboy Moderator

    Weaselboy

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  21. Fall Under Cerulean Kites macrumors regular

    Fall Under Cerulean Kites

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    The creation of hundreds of jobs does not address the unemployment aspect of economic woes.
     
  22. JM macrumors 6502a

    JM

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    Nobody cares where they came from. "Gimme my cellphone."
     
  23. jlasoon macrumors 6502

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    #24
    The 'butt hurt' is strong with this one.

    The PEOTUS hasn't even taken office yet and we're talking American manufacturing for the iPhone - this is a good thing for everyone.
     
  24. Rogifan macrumors P6

    Rogifan

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    Wow talk about fake news...did this come from Breitbart?
     

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